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German
auto maker DaimlerChrysler has confirmed for the first
time that it is negotiating the sale of its ailing US
Chrysler business. Chrysler, once the third of the "big
three" global automakers along with GM and Ford
Motor Co, was acquired by Daimler in 1998 as its US
division.
Dieter
Zetsche, chief executive, DaimlerChrysler, who had earlier
turned around the Chrysler division before its current
troubles, said the firm was talking with some potential
partners who have shown a clear interest in Chrysler.
General
Motors, currently the world''s largest automaker and
Canadian engineering firm Magna International have been
linked with possible bid moves for the Detroit-based
firm.
The
US automaker reported a $1.5-billion loss last year,
leading to pressure on the company to sell it off. In
February, DaimlerChrysler revealed plans to cut 13,000
US jobs and close two factories as part
of renewed attempts to turn the company around.
Chrysler
sales, as also those of former global No 2 Ford Motor,
have been hit by higher fuel prices leading to a shift
in consumer preference for smaller and more fuel-efficient
cars.
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